The targeted fuel subsidies will begin from the second quarter of 2019, and will be applicable to cars with engine capacities of 1,500cc or less, and motorcycles of 125cc or below.

The fuel subsidies will be channelled to individual car and motorcycle owners, identified as part of the B40 household.

The B40 household is defined as a household with a monthly income of MYR4,500 and below.

As part of the subsidy, every eligible car and motorcycle owner can enjoy up to 100 litres and 40 litres of RON95 petrol per month. The subsidy covers at least MYR0.30 per litre, subject to the market price of petrol.

This scheme is expected to benefit four million car owner and 2.6 million motorcycle owners.

It will cost MYR2 billion to the Government in 2019.

The PH administration intends to spend MYR314.6 billion in its maiden Budget for 2019.